Frontier Airlines announced plans to reduce flights to Orlando in an attempt to address what the company described as “overcapacity in leisure markets” over the past year.
During the company’s earnings call on Tuesday, President and CEO Barry Biffle commented on the airline’s oversupply in 2023 in two specific “leisure” markets: Las Vegas and Orlando.
“One of the largest challenges many low-cost and ultra-low-cost carriers faced in 2023 was the industry’s oversupply of capacity in leisure markets, with Las Vegas and Orlando being two significant examples,” said Biffle during the call.
Biffle indicated that both markets have experienced “rapid and disproportionate growth” compared to 2019, when “demand and capacity” were more balanced.
“By summer, we plan to reduce Las Vegas and Orlando combined capacity by 11 points of our system share year-over-year, reducing the share of these markets by one-third,” said Biffle.
Biffle clarified that the airline is not “retreating” from either market, but rather, refocusing its fleet to remain the “low-cost leader” in both Orlando and Las Vegas.